The IRS announced that it has postponed the due date for individual income tax returns from April 15, 2021 until May 17, 2021. The IRS had previously postponed the due date for various tax filings and payments for Texas, Oklahoma, and Louisiana taxpayers until June 15, 2021 (See “Whitley Penn Tax Alert: IRS Announces Tax Relief for Texas Storm Victims” dated February 22, 2021). The June 15, 2021 filing date for individual and business taxpayers in those states is not changed by the new announcement.
The postponement applies to individual income tax returns and 2020 income tax payments due on April 15, 2021. However, the April 15, 2021 due date for 2021 individual estimated income tax payments was not extended.
Individual taxpayers do not need to file an extension to take advantage of the one-month postponement. Individual taxpayers that require an additional period of time to file their returns after the delayed due date may obtain an automatic extension of time to file their returns until October 15, 2021 by filing Form 4868 on or before May 17, 2021 (June 15, 2021 for Texas, Oklahoma, and Louisiana residents). Any 2020 tax due at the time an extension is filed must be paid on or before May 17, 2021 (June 15, 2021 for Texas, Oklahoma, and Louisiana residents). Additional tax, penalties, and interest will apply for returns not filed and payments not made by the postponed due date.
The extended due date only applies to 2020 federal individual income tax returns and payments. It does not apply to corporations or other taxpayers with April 15, 2021 due dates. In addition, the postponement does not specifically apply to any state income tax returns or payments.
The IRS plans to issue additional guidance regarding the extended filing date in the near future. Whitley Penn will send out additional tax alerts in the future as that guidance is issued. In the interim, please call your Whitley Penn tax advisor with any questions or if you require any additional information.
For more information regarding new developments in tax law, please click here to view our Tax Alerts on the Whitley Penn website.